Upheld: irresponsible lending complaint against Everyday Lending Limited trading as Evlo
Financial Ombudsman decision DRN-6046658 of 2026-04-13T00:00:00+00:00. irresponsible lending complaint against Everyday Lending Limited trading as Evlo. Outcome: Upheld.
Decision detail
| Reference | DRN-6046658 |
|---|---|
| Decision date | 2026-04-13T00:00:00+00:00 |
| Firm | Everyday Lending Limited trading as Evlo |
| Product | Personal loan |
| Claim type | irresponsible lending |
| Outcome | Upheld |
| Remedy | Evlo must: (1) add up total repayments made by Miss T and deduct from the total amount received; (2) if Miss T overpaid, refund overpayments with 8% simple interest from the date of overpayment; (3) remove all adverse information regarding the account from Miss T's credit file; (4) if capital balance remains, arrange an affordable payment plan with Miss T and remove adverse information once cleared. |
Summary
Miss T complained that Evlo irresponsibly lent her £1,200 in July 2025 when her credit file showed clear evidence of financial difficulty, including reliance on payday loans, over £20,000 in unsecured debt, missed payments, and consistent overdraft usage. Evlo conducted proportionate checks and calculated approximately £913 in monthly disposable income after loan repayments, but the ombudsman found that the information from these checks demonstrated Miss T was in financial difficulty and unable to repay sustainably. The ombudsman upheld the complaint and ordered Evlo to refund all interest and charges, remove adverse credit file information, and arrange an affordable repayment plan for any remaining capital balance.
The Ombudsman's reasoning
While Evlo's proportionate checks were reasonable and the disposable income calculations appeared sufficient on their face, the ombudsman found that the information obtained from these checks demonstrated Miss T was in financial difficulty. The pattern of repeated payday loan borrowing, high revolving credit debt, exceeded credit limits, missed payments, and consistent overdraft usage indicated that Miss T would not be able to repay the loan sustainably without causing financial difficulties or harm. The ombudsman concluded that Evlo failed to fairly consider the information obtained from their checks when making the lending decision.
How this compares
| Group | Decisions | Uphold rate |
|---|---|---|
| Everyday Lending Limited trading as Evlo, all decisions | 7 | 43% |
| Personal loan, all decisions | 22,070 | 30% |
Source
Read the original decision on the Financial Ombudsman Service website